California Real Estate Practice Exam

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What is required by law for practicing dual agency?

  1. Written agreement from one party

  2. Verbal agreement from both parties

  3. Informed consent from both parties

  4. Approval from a real estate broker

The correct answer is: Informed consent from both parties

In order to practice dual agency (representing both buyer and seller in a real estate transaction), informed consent from both parties is required by law. This means that both the buyer and seller must be fully aware and consent to the situation before it can be considered a valid dual agency. A written or verbal agreement from one party or approval from a broker is not enough to satisfy the legal requirement for dual agency.

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